Canadian insurers perceive regulation and the macroeconomic environment as two of the top 10 risks to their businesses this year, according to a new report.
PriceWaterhouseCoopers published this finding in a July survey, “Insurance Banana Skins 2013: The Canadian Results.” Produced in collaboration with the Centre for the Study of Financial Innovation for senior insurance industry executives, the PwC survey identifies risks facing the global insurance industry. The report includes insights from more than 660 insurers, regulators and industry-watchers across 54 countries.
“The industry faces increasing regulatory demands without due consideration to the costs and practical business ramifications of the changes being made,” the report states, quoting one survey respondent.
“Market conditions are sufficient to promote rate control, without arbitrary political interference, which will likely cause more harm than benefit to the insurance companies and, ultimately, the end consumer,” the survey respondent adds.